In the past few weeks we have announced the cost of Tasmanian “car regos” will be cut due to a significant reduction in MAIB compulsory third party insurance premiums, which make up a large proportion of total registration costs.

This comes on top of action to reduce power bills for households and small business. A lower cost of living is good news for Tasmanians and I’m proud to be part of a government that is focussed on this objective. 

As Liberals, we are the low tax party and since we were elected in 2014 we have made key decisions which have delivered reduced living costs for families and businesses.

In the case of lower total registration costs for vehicles in Tasmania, the cut to Motor Accident Insurance Board premiums is possible because of a number of factors, including the successes of our road safety strategy and the major safety rebuild of the Midland Highway, which has seen the number of MAIB claims decline.

The Tasmanian and Commonwealth Government’s joint $500 million, 10-year action plan to transform the Midland Highway is well underway, and has already improved road safety and will continue to do so.

The lower MAIB premium will take effect from the December 1 this year, with the premium for a standard motor car to reduce by $24 to $294. This reduction comes despite the Tasmanian Economic Regulator’s Pricing Order allowing an increase of $7.

So instead of a 2.2 per cent increase, the Hodgman Government has approved a 7.5 per cent general reduction in premiums. And that follows a nil increase in premiums last December.

Tasmanian’s premium is the lowest in Australia.  In Queensland, the cost for a car is $330, increasing to $372 in Western Australia, $457 in Victoria, $461 in South Australia, $547 in the Northern Territory, $586 in the ACT and $658 in NSW – which is over double the cost in Tasmania.

It is also important to note that Tasmania’s compulsory third party insurance premiums offer full no-fault benefits, matched only in Victoria and the Northern Territory.

Tasmanian pensioners will continue to be eligible for a further 20 per cent discount ($59 a year) on their MAIB premium on their cars.

Another area where the Liberal Government is putting more money in Tasmanian wallets is household electricity costs. Since the election, electricity prices in Tasmania have fallen by 2.4 per cent, compared to a 65 per cent increase under Labor and the Greens.

Late last month the Australian Energy Regulator released its latest draft decision. If the draft decision is confirmed, it will put significant further downward pressure on electricity prices. This outcome reflects efficiencies and cost savings that have been achieved by TasNetworks and is a testament to the hard working people in the Tasmanian Government’s energy businesses.

The Liberal Government will continue to work hard to reduce the cost of living for all Tasmanians.

Given the State Budget is now back in surplus for the first time in six years and our economy is growing and supporting job growth, we can afford to reinvest in job-creating infrastructure and essential services, such as health and education and support Tasmanians by reducing the cost of living.